BSP, DMK want UPA rethink on diesel price hike

New Delhi: Key UPA allies DMK led by M Karunanidhi and Mayawati’s Bahujan Samaj Party (BSP) are extremely disappointed with the Congress government’s decision to deregulate diesel prices, allowing a hike of 40/50 paise/ litre every month.

According to reports, the two parties have completely disapproved the decision terming it as anti-poor and demanded a rethink on the same. rollback.

Observing that a hike in diesel prices would lead to all-round inflation, BSP chief Mayawati today asked the Centre to rethink its decision to allow state-run oil marketing companies to revise diesel rates.

"The Centre should rethink the diesel issue," Mayawati said while on a visit to the national capital. "This is not right," she told reporters.

She said the Congress should deliberate on this issue in its ongoing conclave in Rajasthan.

On raising the cap on subsidised LPG (liquefied petroleum gas) cylinders to nine, she said that the BSP demands raising the cap to one cylinder per month; that is 12 per year.

"They should have thought how it would affect the economy," she added.

Commenting on the recent rail fare hike, she said, "It is clear now that the Congress is no more with the common man, but with capitalists."

Meanwhile, the DMK chief also disapproved the Centre’s dision and demanded the government to revise it. The party also asked the Centre to raise the subsidised LPG cylinder cap to 12 from the proposed nine, asking it not to invite the wrath of the poor on cooking gas.
“Allowing state-owned oil companies to increase diesel prices even by a small quantum is a wrong decision”, DMK chief M. Karunanidhi said in a statement, a day after government partially deregulated diesel price allowing a hike of 40-50 paise a litre every month.

He said the poor and the middle class would not be able to bear even the increase of 50 paise per litre in diesel and this would pave the way for increase in inflation.

“The Centre should reconsider the decision on the diesel price issue so that poor and the middle class are not affected,” he said, reminding that the diesel price was hiked by Rs. 5.63 per litre in September 2012.
On the announcement to raise the cap on subsidised cooking gas cylinders from six to nine a year, Mr. Karunanidhi said a Parliamentary committee had already recommended that it should be increased to 12 a year.

Karunanidhi said, “The government has to give a cylinder at subsidised rate every month. Though it will cost additional burden, government should bear them so as not to attract the wrath of the poor.”

“Government should reconsider the decision to give nine LPG cylinders only. It should come forward to give one cylinder a month,” he added.